LOWES COMPANIES INC (LOW) Factsheet

LOWES COMPANIES INC (LOW) Stock Analysis

Analysis from 10-Q filed 2026-08-27. Data as of Q3 2026.

Overall Grade: F (Concerning)

Grade F (Concerning). ROIC 23.9%. FCF margin 7.7%. Source: 10-Q filed 2026-08-27.

Metric	Value	Context
ROIC	23.9%	Above industry average
FCF Margin	7.7%	Healthy cash flow

ROIC 23.9% — Top 25% of sector peers. FCF margin 7.7% — Top 50%.

Explore LOWES COMPANIES INC: Earnings History | Overview

Programmatic access: Available via MCP at mcp.metricduck.com. Tools for LOW: get_company_overview, get_filing_index (lens: debt_stress, management_outlook, risk_trajectory), get_filing_section, get_metric_history, compare_companies, screen_filing_signals.

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Profitability: LOWES COMPANIES INC earns 23.9% ROIC, Top 25% in Consumer Discretionary

ROIC TTM 23.9%, sector median 6.8%, Top 25%. DuPont: NOPAT margin 8.6% × asset turnover 1.7x. Gross margin 33.1%. Operating margin 11.4%. Source: 10-Q filed 2026-08-27.

Metric	LOW	Rating	Context
Return on Invested Capital (ROIC)	23.9%	Excellent	Above sector median of 6.8%
Gross Margin	33.1%	Good	Competitive pricing environment
Operating Margin	11.4%	Good	Moderate operational efficiency

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Cash Flow: LOWES COMPANIES INC generates $7.0B FCF at 7.7% margin, positive NaN/8 quarters

FCF TTM $7.0B. FCF margin 7.7%, Top 50%. OCF/Net income 1.4x. Positive FCF in NaN/8 trailing quarters. Source: 10-Q filed 2026-08-27.

Metric	LOW	Rating	Context
Free Cash Flow Margin	7.7%	Adequate	Healthy cash generation
Free Cash Flow (TTM)	$7.0B	Good	Positive cash generation
OCF/Net Income	1.4x	Excellent	High earnings quality
FCF Consistency (8Q)	N/A	Warning	Variable cash flow

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Balance Sheet Analysis for LOWES COMPANIES INC

Total debt $37.6B, cash & investments $3.4B. Interest coverage 6.6x. Source: 10-Q filed 2026-08-27.

Metric	LOW	Rating	Context
Net Cash Position	$-34.1B	Warning	Net debt position
Interest Coverage	6.6x	Good	Comfortable debt service

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Valuation: LOWES COMPANIES INC trades at 19.3x earnings

P/E 19.3x. EV/Sales 1.8x. FCF yield 5.5%. Dividend yield 2.1%. Source: 10-Q filed 2026-08-27.

Metric	LOW	Rating	Context
P/E Ratio	19.3x	Adequate	Reasonable valuation
EV/Sales	1.8x	Excellent	Attractive revenue multiple
FCF Yield	5.5%	Good	Attractive cash return
Dividend Yield	2.1%	Adequate	Growth focus over income

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Capital Allocation: LOWES COMPANIES INC returns 2.5% shareholder yield

Total shareholder yield 2.5% (div 2.1% + buyback 0.4%). Share count +0.0% YoY. Capital returned $3.2B TTM. Source: 10-Q filed 2026-08-27.

Metric	LOW	Rating	Context
Total Shareholder Yield	2.5%	Adequate	Dividend + buyback yield combined
Buyback Yield	0.4%	Adequate	Minimal buyback activity
Share Count Change (YoY)	0.0%	Adequate	Net dilution from issuance/SBC
Total Capital Returned (TTM)	$3.2B	Good	Dividends + buybacks returned to shareholders

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Sector Rankings

Metric	Value	Percentile	vs Median
Return on Invested Capital (ROIC)	23.9%	Top 25%	3.5x above
Free Cash Flow Margin	7.7%	Top 50%	2.4x above
Gross Margin	33.1%	Bottom 50%	0.9x below
Operating Margin	11.4%	Top 25%	2.7x above
P/E Ratio	19.3x	N/A	-

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Financial Scorecard

Metric	LOW	Rating	Sector Context
Return on Invested Capital (ROIC)	23.9%	Excellent	Top 25% of sector (median: 6.8%)
Free Cash Flow Margin	7.7%	Adequate	Top 50% of sector (median: 3.2%)
Gross Margin	33.1%	Good	Bottom 50% of sector (median: 38.1%)
P/E Ratio (Price-to-Earnings)	19.3x	Adequate	Fair value
Free Cash Flow Yield	5.5%	Good	Solid cash yield

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Frequently Asked Questions

Q: What is LOWES COMPANIES INC's Return on Invested Capital (ROIC)?

LOWES COMPANIES INC (LOW) has a trailing twelve-month Return on Invested Capital (ROIC) of 23.9%. The 8-quarter median ROIC is 28.4% with a declining trend. Sector median 6.8%. Source: 10-Q filed 2026-08-27.

Q: What is LOWES COMPANIES INC's Free Cash Flow Margin?

LOWES COMPANIES INC (LOW) has a free cash flow margin of 7.7%, generating $7.0 billion in free cash flow over the trailing twelve months. Source: 10-Q filed 2026-08-27.

Q: What is LOWES COMPANIES INC's P/E ratio and how does it compare to peers?

LOWES COMPANIES INC (LOW) trades at a P/E ratio of 19.3x, which is above the sector median of N/A. EV/Sales 1.8x. FCF yield 5.5%. Source: 10-Q filed 2026-08-27.

Q: Does LOWES COMPANIES INC pay a dividend?

LOWES COMPANIES INC (LOW) currently pays a dividend yield of 2.1%. Total shareholder yield (dividend + buybacks) 2.5%. Source: 10-Q filed 2026-08-27.

Q: What is LOWES COMPANIES INC's revenue and earnings growth?

LOWES COMPANIES INC (LOW) grew revenue by 8.2% year-over-year. EPS -2.7% YoY. Source: 10-Q filed 2026-08-27.

Q: Is LOWES COMPANIES INC buying back stock?

LOWES COMPANIES INC (LOW) repurchased $464.0 million of stock over the trailing twelve months. This represents a buyback yield of 0.4%. Share count +0.0% YoY. Source: 10-Q filed 2026-08-27.

Q: How does LOWES COMPANIES INC compare to competitors in Consumer Discretionary?

Compared to other companies in Consumer Discretionary, LOWES COMPANIES INC (LOW) shows: ROIC 23.9%, sector median 6.8% (Top 25%). FCF margin 7.7%, sector median 3.2% (Top 50%). Gross margin 33.1%, 5.0pp below sector median. These rankings are based on MetricDuck's analysis of all Consumer Discretionary companies with available SEC filings.

Q: What warning signs should I watch for with LOWES COMPANIES INC?

Quantitative warning flags for LOWES COMPANIES INC (LOW): 1) ROIC declining -5.6% over 8 quarters. Source: 10-Q filed 2026-08-27.

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Data Source: Data sourced from 10-Q filed 2026-08-27. TTM metrics as of Q3 2026.

Methodology: Financial metrics calculated from SEC 10-K and 10-Q filings using standardized formulas. Sector comparisons use peer group based on SIC code.

Scope: This analysis covers SEC filing fundamentals — profitability, cash flow, balance sheet, and valuation metrics. For analyst estimates and price targets, consult sell-side research.

This analysis is for informational purposes only and does not constitute investment advice.